EC300 Intermediate Microeconomics

for SP 2011

Mission Statement: The mission of Park University, an entrepreneurial institution of learning, is to provide access to academic excellence, which will prepare learners to think critically, communicate effectively and engage in lifelong learning while serving a global community.

Vision Statement: Park University will be a renowned international leader in providing innovative educational opportunities for learners within the global society.

Course Description:EC300: Intermediate Economics: An analysis of the considerations underlying economic value. Emphasis is on the pricing process under different market conditions and the evaluation of the functioning of the enterprise system. Prerequisite: EC142. 3:0:3.

Educational Philosophy:The instructor will meet the educational objectives of this course as a practitioner, scholar and facilitator. The instructor's educational philosophy primarily stresses the student’s ability to visually relate to and present theoretical concepts. In conveying concepts the instructor will rely heavily lecture, homework, discussion, and exams. Ultimately, the student will be challenged to use the concepts presented in the class to interpret past and current economic events, as well as, to be able to assess current economic policy deliberations.

Learning Outcomes:Core Learning Outcomes

Discuss the characteristics of the four industry types (perfect competition, monopolistic competition, oligopoly, and monopoly). The discussion should include the number of firms, nature of the product, pricing, and barriers to entry.

Discuss the slope of the demand curve for the four industry types (perfect competition, monopolistic competition, oligopoly, and monopoly).

Analyze profit maximization and the presence of economic profits in the long run for the four industry types (perfect competition, monopolistic competition, oligopoly, and monopoly).

Compare monopolistic competition, oligopoly, and monopoly to the perfectly competitive situation in which economic efficiency is attained; apply this comparison to a real-world example.

Using general equilibrium analysis, discuss how competitive equilibrium results in efficiency in production, and how producer or consumer market power affects such a result.

Core Assessment:

DESCRIPTION OF CORE ASSESSMENT for EC 300:

All ParkUniversity courses must include a core assessment that measures the course’s Core Learning Outcomes.The purpose of this assessment is to determine if expectations have been met concerning mastery of learning outcomes across all instructional modalities.For this course, the core assessment is a research paper worth 20 percent of the student’s final grade.This paper will assess students’ mastery of four Core Learning Outcomes (Outcomes 1, 2, 3, and 4 listed on this syllabus).

Each student will be randomly assigned one of the general topics outlined below.The student must then choose an original, unique specific topic by finding a real-world example of the general topic.For instance, a student could choose Microsoft as an example of an unregulated monopoly.Students may not use specific topics mentioned in the textbook, and no two students may have the same specific topic.

NOTE:Instructors may add requirements to those listed below and for grading purposes may add criteria not listed in the Core Assessment Rubric.

General Topics

MONOPOLY (UNREGULATED):Analyze the structure of a private, unregulated firm that is a monopoly or has been a monopoly in the recent past.Show graphically and explain how the firm fulfills the characteristics of monopoly.Identify the causes of monopolization and discuss the firm’s pricing and profits.Discuss the impacts of the firm’s pricing on consumer choice.

MONOPOLISTIC COMPETITION:Analyze the structure of a monopolistically competitive industry.Show graphically and explain how the industry fulfills the characteristics of monopolistic competition.Discuss the industry’s pricing, profitability, and future trends in industry structure.

OLIGOPOLY:Analyze the structure of an oligopolistic industry.(Be sure to discuss the entire industry, not a single firm.)Identify why it is oligopolistic and discuss pricing strategies, profitability, and the relationship between firms within the industry.Show graphically and explain briefly the kinked demand curve model and discuss whether the industry’s pricing fits the model.

REGULATION OF NATURAL MONOPOLIES:Analyze the structure of a regulated natural monopoly (e.g., a public utility). Identify why it is a natural monopoly and show this graphically.Discuss its profitability and how the regulatory agency controls the firm’s pricing.

Paper Format

1,500 –1,700 words, not including the reference (Works Cited) page.Verify this with word-count in Microsoft Word and include the actual word count typed at the bottom of the last page of text, before the reference page.

The paper should be typed, double-spaced, on white paper, with page numbers centered at the bottom of the page.

The title page should contain the following in this order: general topic: specific topic, student’s name, course name, date.

Paper and all supporting materials should be delivered to the instructor in a 10 x 13 inch brown envelope (inter-campus envelopes are NOT acceptable).The student’s name should be written on the outside of the envelope in the upper right-hand corner, holding the envelope as if it were a notebook page.A “soft” copy of the paper also should be e-mailed to the instructor.

Papers will not be returned to the student, so the student should retain a back-up copy.

Research Sources

Students should use at least four different acceptable research sources excluding the course textbook.The quality and quantity of these references will determine the amount of points earned for research.

Acceptable Sources: In general, citations from Internet websites will NOT count as an acceptable source unless the citation is from a U.S. government website. The Internet can be used to find on-line versions of publications, but such citations should be made only for articles that are published in paper form (i.e., can be found in a library). For instance, you could use a New York Times article that is downloaded from the Internet. Encyclopedias and abstracts are not valid sources. Cutting and pasting information from the Internet is plagiarism.

Recommended Sources:

The Wall Street Journal

New York Times online (e-mail notices of this are available for free)

CNN Financial News online

The Economist (magazine)

The National Review

any academic journal

nonacademic journals

library books

government publications (e.g., those of the Commerce Department or U.S. Census)

Format for Citations:

Chicago Manual of Style

OR MLA Handbook

OR APA style (e.g., Diana Hacker’s reference book)

Supporting Materials

Cited research sources must be Xeroxed and included in the brown envelope with the student’s research paper.If a book or an article with more than 15 pages is cited, Xerox copies of the title page (not the book’s cover) should be included with copies of specific pages cited.

Topic Paper Grading Criteria

The purpose of the topic paper and presentation is to gain a deeper understanding of a theoretical economic concept through its application to real-world situations.Papers will be assessed according to the appropriate application of economic theory to the specific topic chosen by the student.

Application of Economic Theory:

·Are concepts based in economic theory and supported by the real-world data?

Grading: The course grade for students will be based on the overall average of homework and tests taken during the course in accordance with the weighting of the various requirements as stated in the syllabus.

> 900 Points (> 90%)

A

800 – 899 Points (80 – 89%)

B

700 – 799 Points (70 – 79%)

C

500 – 699 Points (50 – 69%)

D

< 500 Points (< 50%)

F

The course grade for students will be based on the overall average of homework and tests taken during the course in accordance with the weighting of the various requirements as stated in the syllabus.

All final exams in all School of Business courses will be comprehensive and will be closed book and closed notes. They will constitute 30% of the total course grade and will not be a take-home exam. They will be completed during the test week in the period designated by the registrar or by the Proctor in the case online courses. If calculators are allowed, they will not be multifunctional electronic devices that include features such as: phones, cameras, instant messaging, pagers, and so forth. Electronic Computers will not be allowed on final exams unless an exception is made by the Dean of the School of Business.

Late Submission of Course Materials:Late work will not be accepted after its ‘due date’ unless a prior agreement with the instructor was reached (Under NO condition will late work be given full credit). Under NO circumstance will any assigned work for the course be accepted after the date scheduled for the final exam for the course.

Homework Assignments: During the semester, TEN (10) homework exercises will be given to students. The due dates for these assignments will be announced in class (e.g. usually they will be due the Monday following the date they are given to students). These assignments may NOT be turned in for credit after the due date. Final grades will incorporate the best EIGHT (8) scores from these assignments.

Classroom Rules of Conduct:

Any classroom conduct that disrupts the learning environment in the opinion of the instructor will not be tolerated. Specific rules include:

All consumer electronic devices must be turned off and earphones must be removed during class time (e.g. Any cell phones, mp3 players, etc.)

Recording devices can only be used with the instructor’s prior approval.

The use of laptop computers in the class room is discouraged and can only be used with the instructor’s prior approval.

Chapters 7,8(Production Concepts, Production Efficiency, Short and Long Term Horizons, Isoquant and Isocost Curves, Total, Average and Marginal Product,Returns to Scale, Marginal Rate of Technical Substitution, Cobb-Douglas Production Function);Homework(7)4

Academic Honesty:Academic integrity is the foundation of the academic community. Because each student has the primary responsibility for being academically honest, students are advised to read and understand all sections of this policy relating to standards of conduct and academic life. Park University students and faculty members are encouraged to take advantage of the University resources available for learning about academic honesty (www.park.edu/current or http://www.park.edu/faculty/).from Park University 2010-2011 Undergraduate Catalog Page 92

Plagiarism:Plagiarism involves the use of quotations without quotation marks, the use of quotations without indication of the source, the use of another's idea without acknowledging the source, the submission of a paper, laboratory report, project, or class assignment (any portion of such) prepared by another person, or incorrect paraphrasing. from Park University 2010-2011 Undergraduate Catalog Page 92-93

The instructor may excuse absences for valid reasons, but missed work must be made up within the semester/term of enrollment.

Work missed through unexcused absences must also be made up within the semester/term of enrollment, but unexcused absences may carry further penalties.

In the event of two consecutive weeks of unexcused absences in a semester/term of enrollment, the student will be administratively withdrawn, resulting in a grade of "F".

A "Contract for Incomplete" will not be issued to a student who has unexcused or excessive absences recorded for a course.

Students receiving Military Tuition Assistance or Veterans Administration educational benefits must not exceed three unexcused absences in the semester/term of enrollment. Excessive absences will be reported to the appropriate agency and may result in a monetary penalty to the student.

Report of a "F" grade (attendance or academic) resulting from excessive absence for those students who are receiving financial assistance from agencies not mentioned in item 5 above will be reported to the appropriate agency.

Disability Guidelines:Park University is committed to meeting the needs of all students that meet the criteria for special assistance. These guidelines are designed to supply directions to students concerning the information necessary to accomplish this goal. It is Park University's policy to comply fully with federal and state law, including Section 504 of the Rehabilitation Act of 1973 and the Americans with Disabilities Act of 1990, regarding students with disabilities. In the case of any inconsistency between these guidelines and federal and/or state law, the provisions of the law will apply. Additional information concerning Park University's policies and procedures related to disability can be found on the Park University web page: http://www.park.edu/disability .

Rubric

Competency

Exceeds Expectation (3)

Meets Expectation (2)

Does Not Meet Expectation (1)

No Evidence (0)

Evaluation Outcomes1

The student perfectly discusses the industry type and the specific topic for all of the following characteristics: number of firms, nature of the product, pricing, and barriers to entry.

The student adequately discusses the industry type and the specific topic for two to three of the following characteristics: number of firms, nature of the product, pricing, and barriers to entry.

The student discusses the industry type and the specific topic for one of the following characteristics: number of firms, nature of the product, pricing, and barriers to entry.

The student discusses the industry type and the specific topic for none of the following characteristics: number of firms, nature of the product, pricing, and barriers to entry.

Synthesis Outcomes2

The industry demand curve is identified graphically; its slope is perfectly explained for the industry and is applied correctly to the specific topic.

The industry demand curve is identified graphically; its slope is adequately explained for the industry only.

The industry demand curve is identified graphically; its slope is inadequately explained.

The industry demand curve is not identified graphically nor is it explained.

Analysis Outcomes3

Profit maximization is perfectly defined in the context of the industry type; the presence of economic profits in the long run is identified in the context of the industry type; the theory of profit maximization is perfectly applied to the specific topic.

Profit maximization is defined and the presence of economic profits in the long run is identified in the context of the industry type; the theory of profit maximization is adequately applied to the specific topic.

Only one of the following has been presented: profit maximization is defined and the presence of economic profits in the long run is identified in the context of the industry type; the theory of profit maximization is adequately applied to the specific topic.

The theory of profit maximization is not discussed.

Application Outcomes4

An industry type (monopolistic competition, oligopoly, or monopoly) is perfectly compared to the perfectly competitive situation; economic efficiency is defined; the specific topic is used to illustrate this comparison.

An industry type (monopolistic competition, oligopoly, or monopoly) is compared to the perfectly competitive situation and economic efficiency is defined.

An industry type (monopolistic competition, oligopoly, or monopoly) is compared to the perfectly competitive situation.

No comparison between perfect competition and an industry type is made.

Content of Communication Outcomes4

Reference (Works Cited) page is properly formatted and complete.

Reference page has one to two errors but is complete.

Reference page has three or more errors or is incomplete.

Reference page is not present.

Technical Skill in Communicating Outcomes1,2,3,4

More than four acceptable research sources are cited within the text.

Four to two acceptable research sources are cited within the text.

One acceptable research source is cited within the text.

No research has been conducted.

First Disciplinary Competency Outcomes3

Profit maximization is perfectly defined and applied to the specific topic with no mistakes.

Profit maximization is perfectly defined and applied to the specific topic with one to two mistakes.

Profit maximization is perfectly defined and applied to the specific topic with more than two mistakes.

Profit maximization is not discussed.

Second Disciplinary Competency Outcomes1

The student perfectly discusses the industry type and the specific topic for all of the following characteristics: number of firms, nature of the product, pricing, and barriers to entry.

The student discusses the industry type and the specific topic for three to two of the following characteristics: number of firms, nature of the product, pricing, and barriers to entry.

The student discusses the industry type and the specific topic for one of the following characteristics: number of firms, nature of the product, pricing, and barriers to entry.

The student discusses the industry type and the specific topic for none of the following characteristics: number of firms, nature of the product, pricing, and barriers to entry.

Copyright:

By accessing and using materials presented in class or provided by the instructor via internet the student has agreed to these terms.

1)There are materials considered the property of the instructor (i.e. including and without limitation, text, data, graphs, photos, and video). You may not modify, publish, transmit, display, participate in the transfer or sale, create derivative works, or in any way exploit, any of the content, in whole or in part. You may download and/or copy material for academic use only. Except where expressly permitted, copying, redistribution, re-transmission, publication or commercial exploitation of downloaded material will not be permitted without the express written permission of the instructor (Les Clark).

2) By accessing and using any information provided to you by the instructor, you have expressly agreed that the access and use of this information is at your sole risk. The instructor in no way warrants that the site will be uninterrupted or error free; nor does he make any expressed or implied warranties as to the accuracy of information or data provided via materials.
The instructor assumes no responsibility, and shall not be liable for, any damages to computer equipment or performance problems that may result on account of your access to the instructor's materials.